https://www.taxtmi.com/caselaws?id=447400 The ITAT Surat upheld the CIT(A)'s decision regarding bogus purchases. While CIT(A) acknowledged the possibility of grey market purchases at inflated recorded prices, it noted that disallowing entire purchases without ignoring corresponding sales was improper. Given the assessee's recent business operations and 13.05% gross profit margin, CIT(A) restricted the addition to Rs. 9,80,121 (13.05% of Rs. 75,10,503). The ITAT found no infirmity in CIT(A)'s reasoning and dismissed the Revenue's appeal, upholding the deletion of additions. en-us Thu, 21 Dec 2023 00:00:00 +0530 Mon, 25 Dec 2023 09:25:24 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=447400 The ITAT Surat upheld the CIT(A)'s decision regarding bogus purchases. While CIT(A) acknowledged the possibility of grey market purchases at inflated recorded prices, it noted that disallowing entire purchases without ignoring corresponding sales was improper. Given the assessee's recent business operations and 13.05% gross profit margin, CIT(A) restricted the addition to Rs. 9,80,121 (13.05% of Rs. 75,10,503). The ITAT found no infirmity in CIT(A)'s reasoning and dismissed the Revenue's appeal, upholding the deletion of additions. Case-Laws Income Tax Thu, 21 Dec 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=447400